US Stock market closed today in green after closing in red yesterday. They initially extended their slide in the opening session in the morning but as the day picked up, they turned to green territory. Negative news flow related to slow down in Chinese economy had triggered negative sentiments among the traders. A combination of technical support and financial group pushed the market in the green zone.
US stock market were also haunted by the negative news coming from the euro zone. Euro zone is currently going through lot of financial turmoil which is causing downgrades and rippling affect across the US stock market and global stock markets.
US stock market were pulled down in the morning by the news that China which has played a major role in global economic recovery is slowing down and its GDP came less than anticipated at 9.1 per cent. S&P 500 was down nearly 1 per cent in the early trade in the morning session. Bank of America played a pivotal role in pushing market back into the green zone.
Bank of America was supported by other financial stocks like Goldman Sachs. US stock market also got support from the news that leaders in France and Germany have agreed to increase the rescue fund to 2 trillion euros. This lead to the hope that situation in Europe would improve.
Sectors which were seen advancing included Financials, Energy, industrials, Materials, Consumer discretionary, health care, consumer staples, telecom and utilities. News of stabilization in euro zone helped commodities to rally and recover most of their early morning losses.
Gold and Silver which were trading in red zone in the morning, recovered lot of their losses by the time US stock market closed. Crude oil also rallied 2.3 per cent to close at $88.34 per barrel. Though natural gas ended lower than previous day.
US stock market currently depends upon the news flow for their future course, both domestic as well international.
About akhilendra
The unique advantage of trading the stock market compared to other asset classes is the ability to profit when the market is going up, down or sideways! Even the current economic climate is providing great opportunity for savvy investors. For an introduction to the american stock market go to http://www.americanstockmarket.net/
I really like stocks but after 2008 I started moving to other kind of investments not so risky.
First think I learned: don’t lose your money.
As soon as the world economy gets stable then I will come back to stocks.